The diamond markets recovered in 2010 as significant increases in consumer demand from India, China and Far East markets, as well as a relatively healthy U.S. holiday season, supported higher prices. Liberal U.S. monetary policies have encouraged global consumption and stimulated the market for inexpensive diamonds. They have also created currency uncertainty, inflationary expectations and surging gold prices that have encouraged investment demand for diamonds. Overall polished diamond prices and trading volumes have returned to early 2008 pre-recession levels and stabilized during the second half of 2010.
Read more...